Facts
The Plaintiff, a global athletic footwear company established in 1906, sought an ad-interim injunction against the Defendants for using marks deceptively similar to its registered 'N-marks'.
Source reference: p. 1-2The Plaintiff first used the 'N' logo in the 1970s and obtained Indian registration as early as 1987.
Source reference: p. 2, 8The Defendants, Swiss and Indian entities, launched a sneaker line under the brand 'NUBEAT' in April 2024, featuring secondary logos "n:" and "n" in lower case.
Source reference: p. 6-8, 14Despite the Plaintiff’s "shaded logo" and "NB" marks being declared "well-known," the Defendants continued usage, claiming their marks were distinctive and based on the Greek symbol for frequency.
Source reference: p. 6, 12Issues
1. Whether the Defendants' use of the "n:" and "n" logos constitutes passing off or infringement despite the Defendants holding their own trademark registrations.
Source reference: p. 23 / para. 312. Whether the rival marks are deceptively similar, taking into account the "initial interest confusion" test and the "anti-dissection" rule.
Source reference: p. 38 / para. 39Law Applied
Section 27(2) of the Trade Marks Act, 1999, which saves common law rights of action for passing off regardless of registration status.
Source reference: p. 23The "Classical Trinity" of passing off—goodwill, misrepresentation, and damage—as established in Reckitt & Colman Products Ltd. v. Borden Inc.
Source reference: p. 29Prior User principle from S. Syed Mohideen v. P. Sulochana Bai.
Source reference: p. 23The "Initial Interest Confusion" doctrine from Under Armour Inc v. Anish Agarwal.
Source reference: p. 41The "Anti-Dissection Rule" from Amritdhara Pharmacy v. Satya Deo Gupta was used to compare the marks as a whole.
Source reference: p. 39Reasoning
The Court found that the Plaintiff had established overwhelming goodwill through decades of prior use and judicial recognition of its marks as well-known.
Source reference: p. 44In applying the "initial interest confusion" test, the Court reasoned that an average consumer of imperfect recollection would focus on the dominant letter 'n' rather than the inconspicuous "colon" punctuation or minor typographical differences in case (upper vs. lower).
Source reference: p. 40-41The Court dismissed the Defendants' "common to trade" defense, noting that mere registrations by third parties without proof of substantial use do not dilute the Plaintiff's distinctiveness.
Source reference: p. 50-52Furthermore, the Defendants’ own admission that the colon represented a stylized 'B' suggested a phonetic similarity to the Plaintiff's registered "NB" mark.
Source reference: p. 40-41The identical nature of the goods (footwear) and similar trade channels increased the likelihood of "wonderment" regarding a potential association or collaboration between the parties.
Source reference: p. 43, 45Holding
The Court held that the Plaintiff established a prima facie case of passing off as a prior user with significant reputation.
While the "nu:beat" word marks were not restrained, the Court issued an ad-interim injunction restraining the Defendants from using the specific "n:" and "n" logos.
Source reference: p. 39, 53The Court concluded that balance of convenience favored the Plaintiff, as continued use would dilute its well-known marks and cause irreparable injury. The application under Order XXXIX Rules 1 and 2 CPC was allowed.
Source reference: p. 53-54Original Court PDF
New Balance Athletics Inc.vsAstormueller Ag And Ors.
Click to open original judgment
Original judgment, available to read, download and summarize on LawLens.in